Hillsboro recorder., 1887-12-15
PRESIDENTS MESSAGE
A REMEDY SUGGESTED TO CURE
M FINANCIAL DISTRESS.
RxtravaEant Appropriations 60 Rednce
sarpias Deprecated Reyisloa tho
Sole 2 oplc Disenssua.s

WARRINGTON, DecefnDer o. Inc Senhre anu |
ionse recessed soon after meeting, TO await the
presidents message. H a
AT ITO o'clock the senate reassembled ana
the message was read. s ALI ee4al
Following Is the message: :
To the Congress OF the United States: You
are confronted at the threshold Of your legislative.
duties. with condition ofthe national finances,
which imperatively demands imme iiate and care.
full consideration. The amount Of money annually T
exactcd through the operation Of the present laws,
from the Industries and necessities ofthc people,
largely exceeds the sum necessary 70 meet the cx.
penses OF the government When We consider that /
the theory OF the institutions guarantees TO every
citizen the enjoyment OF all the fruit Of his industry
and enterprise with only such deduction as may be
his share towards the carefni and economical |
maintenance OF the government which pro- |
tects him, II Is plain that the exaction OF |
more than this IN ndefensible eytortion and cll.
pablo betrayal Of Ametican fairness and justice.
This wrong inflicted upon those who bear the bur.
den Of national taxation, like other wrongs multi.
plies brood ofev consequences. The public treas.
ury, which should only exist as conduit Convey.
Ing the peoples tribute % rs legitimate object Of
expenditure, becomes a boarding place for money
neediesly withdrawn from trade and the peoples
use. thus crippiing our national energies, suspend
ING osf counsry's dcyeiopsnept preventing invest
ment n productive enterprise, threatening financial
disturbance and inviting schemes Of public plumber
Thisrondltion q our Treasury Is not altogether new
aud II has more than once az ie been submitted Ia
the Icppie's Representatives in the congress who
alone apply remedy, and yet the situation stl
continues with aggravated ipnidents more than
ever Iresagng financial eonyulson aud widespread
disaster. ltwiii a0t do 70 neglect this situation be-
cause rs dangvrs are not now paipaby Imminent
and apparent They exist none the less certainly,
aud await the unforescer and unexpected occasion,
when suddenly they VII be precipitated upon u.s.
On the ssh day Of June. 1885. the excess of rev.
eHues ovvr public expenditures, after complylna
withthe hnntal re- sultement OF the sinking fund,
We. sI7, So. .I5si; during The year ended June 90
iss6. sueh excess amounted 10 SO COS $3.50; and
during the year ended June 90 ISL, IL reached the
sum Of SIS 56i ,si9.A
The Inauai contribution 10 the sinking fund dur.
ing the three years above specified, amounting. In
the aggregate to sisso5s a209s. and dc iueted from
the surplus as stated, were made b. calling in 10;
that PlrTose outstanding thFee per cent bonds Of
the government During the slx months priorto
june .. 1ssT, The turptus revenue bad grown 70
iave By repeated Accommodations, ard Il was feared
the withdrawal Of this great sum OF money needed
hythr people, would - Affect the business Of the
country that the sHn Of 90. 100 Of such surplus
Was applitd The ayment iheprineipal ard inter
est Of The three peresnt bonds stil outstanding and
whiea were then payable stthe option OF the GOV
gIe prcyious condition OF financial affairs among
she S0a day "a June, ISL. the remainder OF the
three pcr crnt bonds thcn outstanding, amounting
with principal and into ~ 70 the sum Of fslssTi50.
wereraeaiin and applied 10 the king fund conri
button for the current hXed upon Notwithstanding
thesc ae.icH. of the treasury Department, repre-
eeniauops Of distress in biNneks circles not only
tontnre !, but lncreasei and absolute peril seemed
Il nan1. In these circumstances the yOntTibut1n
oshe sinking fund or The csirrent fiscal year was q
Unce completed by the expenditure Of s2i ,64.2s.5j
in the purchase OF government bonds. not yet due,
hearing four and four and hall yer cent interest,
sur rer cent +I +Ihe iormer and eisit per cent tsr
The latter. In addition % this the interest accrng
during tne current iifcii.Sear upon the outsiand.
sss 70 sone extent, antclpaied, and banks select.
e1as defs1tlres OF public monsy were JerInited TO
somewhat increase their deposits, while the expe-
dleap thus employed 20 release 70 the people the
nsgsy lying idle IN the treasury served n avert Inn
psdlate danpEK Brt surplus revenues have con.
inued g ascnmua.s. ths sxess " ,oT Ihe present. u
1873 7ui. ~ aud smaied % Fear the sum u H.,
toSSocl The doth of June next At which date u is
expecie1 that this sum addsd 70 prior aceumnla.
lions will sNell the surplus II The treasury to sil
000Q. There seems 10 BE- no Assurance that Win
such withdrawal rom use o. The copies cfculat
IN ihe near future b. subjected % the same distress
which was quite lately pnodussd
o% sG s name sa,sop, ,sss.s hoa Sse ~,
and simple, and while ia hest condition would be
reached, believe, BY ~ entro dlsconncciion with
Sven II EfIe T so. ~ oSey mGs y ee.S @
traeltd ffom the channels OF trade, there seems a
he feasoh for the claim that some legitimate meani
an emergency, without waste orextmsayAnce, such
money ~ ls plBcc among the people.
In such an emergency arises there now eHists ns
HERETOFORE the redemptlpn OF three per cent bondl
which were payable q The option of the govern
snl sas gns,si ss q I'M ,he ,s asonsssn ns |"
eli been retired and theie arr no bonds OUTSTANDING
The payment q which We have risht % insi;'
upun The contribution b the sinkiug fund, whicl
fsrnIshgs the ocrasian ior expenditure in the pur
chase Of tonds has been Aife idy made for the eur
rsntyta, . that there Is no outlay In that diree
In the pre.en. state Of legislation the only pre-
tense ofIny existing executive power 70 restore, =
this time any part q our sarplns fl,ennes g q.
that the secretary of tile treasury may enter ihl
market and purchA . the bonds o. the g0yernmtn
Thc only provision Of Ian srom which such powe
eouid - derived Il found In an appropriation bll
passed number q yeas aecs and II is subject z
the suspicion that y was Intended a. temper ~ an,
limited IN ~ application, instead OF c0nfeffing
cuufinnlng discretion aud authority. No condition
ought 70 exist which would justify the grant Q
heee iy--io withhold from Or rel asc 20 the btl.i
ness tfthe people, IN an unusual manner. none
ssneai III stsIon q na ~ eounrs ana Il Il K NJ
q Lodge ~ the secrctrry " the treasury "
salhorlty, IN the present iuncture., 70 pilchas
far as possible, With such cheeks and lisltatIonsA
viil define this oiclals fighi and discretion aud .
the ssfne time relieve him from undue rcsponsi
ti.ity.
In consldcfaton Of the question OF purchasIn
bonds ~ means Of restoring 20 the circulation th
surplus money accommodating In tie treasury,
shyud hr horne In mind that premiums must, 3
sOures ~ Taid upon such purchase. that there ma
large part ~ these bonds held a. investment
which cannot be purchased Al any price, and tia
tfn1inatons among holdfrs who are willing |
ksh nay unfcasonabiy enhaue, the cost Of sue
tpnns 70 the Roycfnment ft has been niggpstc
thal the pfe.ni bonded debt might BE- refunded 4
Hs fatc OF interest, aud The difference betwee
the u y and new securies in cash, thus hndin
usl tor the surplus IN the treasury.
The success Of the plan, Il u APPARENT must 4,
patl upon tie y0litl0u Of the holders Of the prsser
bofdS and u "a not entirely certain that the nduc
mtni which must bc offered would result III MOI
financial bcnpIlt ~ the government than the NJ
chase 0fb0nds, While the latter ptOtusiti n w1ul
feduec The princ al of the debl Is aCital taynief
instead Of extending n. The proposition 70 dps
tae money held by the COVE nment N bond
throughout The tountry for use by the people, is,
ss ny 70 me, excte Indy objectionable IN prihcpi
ss establishing 100 close q relationship between ii
eIfIat 0ns 81 the government treasury and "
pnslness ~ The country, and loo extensive a He
Won ~ th9ir money, thus fostering an nnnaturll =
tHnfc ~ private business of public 1inds IN th
H*kEnntue should ~ nd1ffed elnnlI uulv done